This article includes a detailed sample project profile on how to start a tamarind paste-making manufacturing business. Also, the content contains tamarind paste-making machines, manufacturing processes, ingredients, market potential, project cost & profitability.
Tamarind pulp is edible. And people use tamarind pulp in preparing different types of food. Also, it is used as a pickling agent. Basically, tamarind has a sour taste.
Tamarind paste has many culinary uses including a flavoring for chutneys, curries, and the traditional sharbat syrup drink. The tamarind sweet chutney is popular in India and Pakistan as a dressing for many snacks. Basically, the tamarind pulp contains 20% moisture, 6% fiber, and 67 % carbohydrates.
However, tamarind pulp is a perishable item. Due to this reason, people use packaged tamarind paste for daily needs. Also, using the paste is not that much cumbersome or difficult like raw tamarind. That is why the tamarind paste is getting huge popularity not only in the metro cities but also in small towns.
10 Steps to Start Tamarind Paste Manufacturing Business
1. Analyze the Market Opportunity
This is the first step in starting any food processing project as such. You must find out the specific market for your specific product. Basically, tamarind paste is a ready-to-use food. So, grocery stores, departmental stores, supermarkets, and self-service counters are the best places to sell the product from. Additionally, the online marketplaces and food delivery platforms are potential avenues too. Finally, this product has a good export demand in the countries like USA, UAE, and Malaysia.
2. Prepare the Project Report with Cost & Profitability
After you get the confidence about the market, the next step is preparing the project report or business plan. Yes, there are several business plan-making software solutions you can find. And some of them are highly effective too. And if you can’t prepare a report of your own, it’s better to consult an expert.
Generally, a business plan contains two basic segments. These are the technical section and financial analysis. Actually, the financial calculations depend on your technical decisions. On the other hand, the finance requirement must fit with your budget or investment capacity.
3. Arrange Finance
Initiating a small-scale tamarind paste-making business doesn’t demand a lot of cash investment. However, the exact amount of cash you need depends on the production output quantity. Also, you can check if there any Govt. subsidy is available for the tamarind paste manufacturing business.
Suggested Read: How to Get a Small Business Loan
Generally, banks provide the entire project finance. And in that case, the bank will ask for collateral security or the owner’s contribution. If you have the capital for fixed costs, then you can also think of getting only a cash credit as a working capital cost.
4. Business Registration & License
Apart from the proprietorship business, you must have to register your organization. Depending on the management pattern, you may go will LLP or Pvt. Ltd. or Ltd. company formation. In any case, you will need a Trade License. And open a current bank account.
As you are into the food processing business, you will need an FSSAI registration. You must follow the FPO norms. Though this type of unit doesn’t need any PCB license, it’s better to apply for a NOC. Finally, you need GST registration for tax filing. If you have more than 10 permanent employees, then you need to register with PF and ESI.
5. Setup Tamarind Paste Manufacturing Plant
You can establish a small-scale unit with a covered area of 1000 Sq Ft. The space must have an electricity connection and sufficient water supply. Also, you need a wide entrance for loading and unloading purposes. It is better to establish the unit in an industrial area.
After selecting the space, prepare a floor plan and wear plan. Determine specific spaces for the storage, production, packaging, testing lab, and official work. You can ask the machinery supplying company to help you.
6. Tamarind Paste Making Machine
Broadly, you can establish the unit in two ways. One is semi-automatic and another is fully automatic. The semi-automatic unit is advisable in the initial days and for beginner entrepreneurs. Some of the basic required types of machinery are the following:
- Baby boiler and accessories
- Stainless steel pulp extractor
- Stainless steel steam jacketed kettle
- Stirrer, motor, reduction gears for the kettle
- Cup washing and drying machine
- Stainless steel working tables
- Lab equipment
7. Tamarind Paste Manufacturing Process
First of all, de-seed the raw tamarind. And then, soak the tamarind in small quantities of water in the kettle. Then, heat the mass gently till the pulp becomes soft. Stir the mass and remove it from the kettle. And then, extract the pulp with the aid of an extractor.
The pulp obtained is once again taken to the kettle where it is once again concentrated to one-third its volume. A kilogram of tamarind yields about 400 grams of paste. Finally, add the preservatives and pack the product containers of 200 grams capacity, and seal.
8. Ingredients & Raw Materials
The major ingredient you need in tamarind paste making is raw tamarind. Also, you need Class II preservatives. You can use either glass or plastic bottles for packing. Also, you need hard cardboard outer cartoon and straps for bulk packing. Finally, you must have printed labels to provide the product information to the customers.
9. Hiring Manpower
For a small-scale unit, you need at least 6 employees. However, the requirement of a number of employees depends on the unit size and quantity of production output. Here, we put a basic requirement list
- Production manager cum chemist – 1
- Skilled worker – 2
- Semi-skilled worker – 2
- Administrative staff – 1
10. Quality Control
Quality control plays a major role in the overall success of the unit. You must produce the paste according to the standards laid down under the FPO. An FPO license is mandatory. Also, the tamarind paste must be free from fermented odor in production or storage. Also, the product must not generate any fungal or bacterial effect. Mention the expiry date on the labels.
From a tamarind paste-making business unit, you can produce other products also. Actually, multiple product processing units ensure better profitability and revenue return.
Rupak is the founder of MUVSI. He is a small business consultant by profession. His mission is to make people know how to make money and understand personal finance for a better living.